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Treasury adviser Bob Wigley slams nondom tax

A LEADING adviser to the Treasury this weekend lambasted plans for a tax crackdown on nondomiciled UK residents, heaping further embarrassment on chancellor Alistair Darling.

Bob Wigley, the chairman of Merrill Lynch Europe, Middle East and Africa and a member of the chancellor’s “wise men” group who advise the Treasury on how to keep London competitive, told The Sunday Times: “This proposal was ill-conceived from the start. While it clearly has some political attraction, the economic case is flawed.”

Other investment banks are known to have lobbied the Treasury, arguing that the new rules could damage London’s position as a financial centre. Darling has faced an avalanche of protests about the tax measures since details were unveiled last month.

Nondoms are people whose family roots are outside the UK but who work here. The proposed changes would levy an annual £30,000 on them if they want to avoid UK tax